President Prabowo Subianto’s initiative to empower rural economies and elevate the standard of living in villages throughout Indonesia includes the establishment of the Koperasi Desa/Kelurahan (Village/Urban Village Cooperative) Merah Putih. This cooperative program symbolizes a pivotal shift towards village-based national development, as highlighted by Adita Irawati, Senior Advisor at the Presidential Communication Office (PCO). With the recent launch coinciding with Indonesia’s 80th Independence Day celebrations, Adita emphasized the significance of the Kopdes Merah Putih in promoting economic independence among rural communities.
The program aims to liberate villagers from reliance on social aid and facilitate sustainable economic empowerment. Challenges persist in villages and urban areas nationwide, such as inadequate fish storage facilities, a high number of MSMEs burdened by debts to loan sharks, and the absence of essential healthcare services and cooperative establishments in various communities. In response, President Prabowo initiated the establishment of 80,081 Kopdes Merah Putih cooperatives on July 21, 2025, as a strategic measure to cultivate a self-sufficient, inclusive, and fair economy.
Aligned with the Asta Cita’s third pillar, this program positions cooperatives as the driving force behind rural economic growth, aiming to generate employment opportunities, foster entrepreneurial pursuits, and fortify local production centers sustainably. By reducing distribution chains and ensuring direct access to affordable groceries, medicines, and fertilizers, these cooperatives play a vital role in enhancing accessibility to essential goods in an equitable manner. The impact of the Kopdes Merah Putih is already palpable, as observed by Dedi Nurendi, head of the cooperative in Cileunyi Wetan village, Bandung regency, West Java.
Dedi lauds the cooperative for addressing the community’s economic needs and relieving residents from the inconvenience of traveling long distances for basic necessities. By providing an alternative to informal moneylenders like Bank Emok, the Kopdes Merah Putih not only offers financial services but also fosters a sense of mutual cooperation within the community. The program embodies a collective effort towards economic autonomy and prosperity, showcasing the power of unity and self-reliance in driving rural development.
